One of the Properties of Pearson's R Is: "The Value

question 25

Essay

One of the properties of Pearson's r is: "The value of r does not depend on the unit of measurement for either variable." In your own words, what does this mean?

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Definitions:

Capital

Financial assets or the financial value of assets, such as cash and goods, used by a business to produce goods or services.

Business Transactions

Economic events that are recorded in the financial statements of an entity because they affect the financial position of the company, involving the transfer of value between two or more parties.

Journal

A chronological record of all financial transactions, used to transfer information to a company's ledger.

Ledger

A book or collection of financial accounts of a particular type, often referred to as the final book of entry where transactions are summarized.